A guide to starting a business in Chile
July 5, 2023
Kreston ATC Chile has launched a comprehensive new guide to starting a business in Chile. As a leading auditing and advisory firm in Chile, their goal is to equip our clients with the guidance and support they need to turn their entrepreneurial visions into reality. Ricardo Gameroff, partner at Kreston ATC Chile, comments;
“Chile’s robust and stable economic landscape has captured the attention of international investors, and our guide serves as a gateway into the vibrant business ecosystem of our nation, showcasing a wealth of opportunities for those seeking foreign investment.”
Below is a brief summary of the 62-page guide, which offers legal and regulatory frameworks, financial activities, industry-specific scenarios, culturally attuned insights, pragmatic recommendations, and more.
Setting up a business in Chile: How quickly can you get started?
Setting up a business in Chile can be a relatively straightforward process, with the timeline for registration varying depending on the company type and registration complexity. Typically, incorporating a company in Chile takes about one – two weeks when all required documentation is accurately and timely submitted.
The minimum investment requirement: what you need to know
Chilean law generally does not impose a minimum capital requirement for company formation, except for certain special types of “Sociedades Anónimas” (stock corporations). In most cases, a capital of 1 peso is sufficient. However, it is important to note that this amount may not cover all the costs associated with starting and operating a business in Chile.
Raising finance in Chile: Methods and considerations
When it comes to raising finance in Chile, several methods are commonly used, including bank loans, venture capital, crowdfunding, government programs, and angel investors. Each option has its own advantages and considerations, and the choice should be based on your specific business needs and circumstances.
Legal requirements for business setup in Chile
To set up a business in Chile, you must comply with certain legal requirements. These requirements may vary depending on your business type and industry. Key obligations include establishing a legal entity, registering your business with government agencies, obtaining necessary licenses and permits, ensuring compliance with employment laws, adhering to accounting and tax regulations, and acquiring any additional certifications required.
Choosing the right business structure for success
When establishing a business in Chile, selecting the appropriate business structure is crucial. Common options include corporations (Sociedad Anónima, SA), limited liability companies (Sociedad de Responsabilidad Limitada, SRL), “Sociedad por Acciones” (SpA), and branch offices (Agencia). Consider your business goals, legal requirements, and operational considerations to make an informed decision.
Payroll and taxation requirements: Ensuring compliance
Compliance with payroll and taxation regulations is essential when operating a business in Chile. It is important to register with the Chilean tax authorities and meet all legal obligations. Seeking guidance from local professionals, such as lawyers or accountants, can help navigate the intricacies of payroll and taxation requirements effectively.
Contact Kreston ATC Chile for additional insights or to arrange a consultation or get in touch.
